LeBron James explains why he is risk-averse in business decisions: "I'm the first generational money maker in my household"
LeBron James became the first active NBA player to reach billionaire status , but his wealth wasn't built on reckless bets or taking big swings. In fact, he does the opposite.
In an appearance on his wife, Savannah's podcast, "Everybody's Crazy," the Los Angeles Lakers superstar explains why he always kept his cards close to his chest when it came to money and business decisions.
"As far as business, I'm kinda like five out of 10," James said , referring to how risk-averse he was. "I will take a couple risks on the business side, knowing that I can hustle it back or do something else, you know. But also, my other side is telling me like I'm the first generational money maker in my household, you know, as far as my family. And I always be thinking about where I come from, though, bro, like coming from the projects in Akron, Ohio, and not having sh-t."
"It's hard for me sometimes to take risk because if that sh-t happened or the whole can come off, and it's over with, bro. I'mma be devastated," admitted LBJ.
James takes his money matters seriously, even threatening his financial advisor if anything goes wrong. Nonetheless, it comes with the territory as one of the most recognizable names in the sports world.
The King of frugality?
From a business perspective, James' viewpoint makes sense. The ability to hedge your bets — to protect what you've built while still leaving room for growth — is what separates sustainable success from fleeting fortune. That is always a delicate balance, especially for athletes like him who became rich seemingly overnight.
That careful mindset does not stop at business deals, though. It carries over to his personal habits, where LeBron's caution has earned him a reputation for being notoriously cheap. Sure, he owns expensive houses and a fleet of luxury cars, but he also knows how to draw the line between comfort and excess. Or, at least, what he thought of as "excess."
"I'm not turning on data roaming, I'm not buying no apps, I still got Pandora with commercials. I'm not paying for it," James declared in an interview with Rachel Nichols a while back.
Besides waiting for the free WiFi and not minding ad-filled apps, LBJ was not interested in paying X's $8 a month to keep his blue checkmark. And yes, he also rode his bicycle now and then during Miami Heat games back in 2012.
For LBJ, saving a few dollars here or there has always been a part of the strategy.
Related: Ron Harper revealed how he would try to stop LeBron James: "Help, help, help, help"
Even Warren Buffett is impressed
It says a lot when one of the world's most respected investors notices your business practices.
That's exactly what happened when Warren Buffett publicly commended LeBron for his financial instincts. "The Oracle of Omaha" lauded James for possessing the rare "money mind," saying he recognized LeBron's business acumen the first time they met back in 2019.
"We had a good time, and since that day, I've been impressed with his leadership skills, his sharp mind and his ability to stay grounded," Buffet wrote in a Time magazine article honoring James as part of the 100 most influential people. "People in LeBron's position get tugged in different directions and have a lot of chances to make bad decisions. He's kept his head, and that's not easy."
"He's smart about business, but he's just a smart guy," Buffett said in 2014. "I noticed that the first time I met him... And you know he doesn't miss anything."
Buffett's words were prophetic. Over the years, LeBron's business portfolio has reflected that same steady and measured mindset that always chooses stability over anything else.
His stake in Fenway Sports Group, which owns the Boston Red Sox, Liverpool FC, and the Pittsburgh Penguins, shows how he prefers proven brands with lasting value over short-lived business trends.
James' lifetime deal with Nike, reportedly worth more than $1 billion, is another reflection of that approach. LBJ built a relationship with the company that has grown stronger throughout his career, based on trust and long-term vision rather than short-term hype.
Bron's empire wasn't built overnight, but through every choice he refused to rush or risk losing everything. That approach is a reminder that the safest bet can still yield the biggest return.
This story was originally reported by Basketball Network on Oct 30, 2025, where it first appeared in the Off The Court section. Add Basketball Network as a Preferred Source by clicking here.
